VT litigation funding company bonds.
From $100. Enter your amount.

A company that provides consumer litigation funding to a Vermont resident, or funds a claim pending in Vermont, must register with the Department of Financial Regulation and file evidence of financial stability under 8 V.S.A. § 2252 — a surety bond or irrevocable letter of credit equal to the greater of $50,000 or double the company's largest funded amount in Vermont over the prior three calendar years. Premiums cost 1% of the bond amount, $100 minimum, filed through NMLS.

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Required under 8 V.S.A. § 2252 before a company registers with Vermont's DFR to fund consumer legal claims

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Amount is the greater of $50,000 or double your largest VT funded amount over the prior three years — the statutory floor, whichever is higher

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From $100, filed through NMLS — enter the amount your registration requires and see your price at application

From $1001% of the bond amount, $100 minimumSoft pull onlynever a hard inquiryFastinstant underwriting for most

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How it works

Apply to filed in one sitting.

No long underwriting queue for the standard financial-stability bond — enter your amount, consent to a soft pull, and file with the Department of Financial Regulation through NMLS. Here is the whole thing:

TODAY · ONLINE

Apply online

Your company details, the bond amount your registration requires, the effective date, and a one-time consent to a soft credit pull.

INSTANTLY

Approved

The application includes a credit consent, but it authorizes a soft pull only — never a hard inquiry, and it will not affect your score. Pricing is 1% of the bond amount, $100 minimum.

SAME DAY

File through NMLS

Your executed bond and power of attorney arrive by email, ready to upload to your NMLS record for the Department of Financial Regulation. Wet-ink originals mailed on request.

About this bond

What it is and who needs it.

What the litigation funding bond actually guarantees

Vermont regulates consumer litigation funding — a nonrecourse transaction in which a company purchases a consumer's contingent right to a share of the potential net proceeds of a settlement or judgment. Under 8 V.S.A. chapter 74, any company that funds a claim pending in Vermont, or funds a Vermont resident's claim pending anywhere, must register with the Department of Financial Regulation before doing business, regardless of volume.

The bond is the registrant's evidence of financial stability. 8 V.S.A. § 2252(b) requires a surety bond or irrevocable letter of credit, issued and confirmed by a Vermont-authorized financial institution, equal to double the company's largest funded amount in Vermont over the prior three calendar years, or $50,000, whichever is greater. It backs the company's ability to meet its obligations to Vermont consumers, not the outcome of any underlying lawsuit.

Registration and the bond are filed through the Nationwide Multistate Licensing System (NMLS), the same portal used for mortgage and consumer-lending licensees. Enter the amount your registration requires — most companies start at the $50,000 floor — and your premium is priced from a $100 minimum after a soft credit consent that never triggers a hard inquiry.

8 V.S.A. § 2252Under 8 V.S.A. § 2252, a company may not engage in the business of consumer litigation funding in Vermont without first filing a registration with the Commissioner of the Department of Financial Regulation, along with a registration fee and evidence of financial stability. That evidence must include proof of a surety bond or irrevocable letter of credit, issued and confirmed by a financial institution authorized to transact business in Vermont, equal to double the company's largest funded amount in Vermont in the prior three calendar years or $50,000, whichever is greater. Registration is submitted and renewed through NMLS; confirm your required bond amount on your NMLS filing.

You need this bond if you are

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A litigation funding company registering with Vermont's DFR to fund claims pending in the state

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Funding a Vermont resident's claim filed in another state — Vermont registration still applies

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Renewing your registration and your prior-year Vermont funded amounts have raised the required bond

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Expanding a multistate litigation-funding business into Vermont through NMLS for the first time

One application, then a quick review.

These are the actual underwriting fields, including your funded-amount history and a one-time consent to a soft credit pull. The pull never affects your score, and your price — from a $100 minimum — is set at application.

Start the application →

FAQ

Common questions.

How much is the Vermont litigation funding company bond?Premiums cost 1% of the bond amount your registration requires, with a $100 minimum. The amount itself is the greater of $50,000 or double your largest funded amount in Vermont over the prior three calendar years, per 8 V.S.A. § 2252(b). Enter that figure and your exact price appears at the application.

What amount should I enter?Most companies start at the $50,000 statutory floor. If your largest single funded amount to a Vermont consumer over the prior three calendar years, doubled, exceeds $50,000, enter that higher figure instead — your NMLS filing will state the exact number the Commissioner expects.

What does the bond guarantee?It is evidence of financial stability backing your obligations to Vermont consumers under 8 V.S.A. § 2252 — not a guarantee of any lawsuit outcome. If a registered company fails to meet its financial obligations, the Department of Financial Regulation and affected consumers can look to the bond.

Is there a credit check?The application includes a credit consent, but it authorizes a soft pull only — a soft inquiry that never affects your score. No hard inquiry ever runs on this bond, and pricing is 1% of the bond amount with a $100 minimum.

Where do I file it?Through the Nationwide Multistate Licensing System (NMLS), alongside your Vermont consumer litigation funding company registration with the Department of Financial Regulation. Your executed bond arrives by email, ready to attach to your NMLS record.

Related bonds

Other Vermont bonds.

NMLS registration waiting on one filing.

Premiums from $100, soft pull only. Enter the amount your registration requires and file through NMLS the same day.

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VT litigation funding company bonds.From $100. Enter your amount.